If a monopolist can sell 7 units when the price is $4 and 8 units when the price is $3,then marginal revenue of selling the eighth unit is equal to
A) $3.
B) $4.
C) $24.
D) -$4.

Question

Quizplus · Accepted Answer

Marginal revenue is the change in total revenue from selling one more unit. Selling 7 units at $4 gives $28, and selling 8 units at $3 gives $24. The change in revenue is $24 - $28 = -$4.

If a Monopolist Can Sell 7 Units When the Price